The Evolution of Marketing
Marketing in the US has passed through four eras: (1) production, (2) selling, (3) marketing concept, and (4) customer relationship
The Production Era
Philosophy was “Produce as much as you can, because there is a limitless market for it.” There was a limited production capability and vast demand for products in those days.
The Selling Era
By the 1920s, businesses had developed mass-production techniques and production capacity often exceeded the immediate market demand. Therefore, most companies emphasized selling and advertising in an effort to persuade consumers to buy existing products; few offered extensive service after the sale.
The Marketing Concept Era
After WWII and the baby boom/tremendous demand for goods and services, businesses recognized that they needed to be responsive to consumers if they wanted to get their business.
3 Parts of the Marketing Concept
The marketing concept has three parts: (1) A customer orientation – find out what consumers want and provide it for them (2) A service orientation – customer satisfaction/customer-oriented (3) A profit orientation – focus on those goods and services that will earn the most profit and enable the organization to survive and expand to serve more consumer wants and needs
Customer Orientation
Places customer satisfaction at it’s core, find out what consumers want and provide it for them
Service Orientation
customer satisfaction/customer-oriented
Profit Orientation Customer
focus on those goods and services that will earn the most profit and enable the organization to survive and expand to serve more consumer wants and needs
Customer Relationship Management (CRM)
the process of learning as much as possible about present customers and doing everything you can over time to satisfy them/exceed their expectations with goods and services. The idea is to enhance customer satisfaction and stimulation long-term customer loyalty
The Marketing Mix
the ingredients that into a marketing program: (1) Product – designing a want-satisfying product, (2) Price – setting a price, (3) putting the product in a place where people will buy it, and (4) Promotion – promoting the product, including how “green” it is (5) Distribution
Marketing Research
marketers analyze markets to determine opportunities and challenges, and to find the information they need to make good decisions
Primary Data and Primary Sources
data that you gather yourself (not from secondary sources)
Secondary Data & Secondary Sources
information that has already been compiled by others and published in journals and books or made available online
Focus Group
a small group of people who met under the direction of a discussion leader to communicate their opinions about an organization, its products, or other given issues
Consumer Market
all the individuals or households that want goods and services for personal consumption or use
B2B Market
all the individuals and organizations that want goods and services to use in producing other goods and services or to sell, rent, or supply goods to others
Target Marketing
marketing directed toward these groups (market segments) an organization decides it can service profitably
Demographic and Psychographic Segmentation
dividing the market by age, income, and education level
Benefit Segmentation
dividing the market by determining which benefits of the product to talk about
Volume Segmentation
dividing the market by usage (volume of use)
Niche Marketing
the process of finding small but profitable market segments and designing or finding products for them
1 to 1 Marketing
developing a unique mix of goods and services for each individual customer
Mass Marketing
developing products and promotions to please large groups of people
Relationship Marketing
marketing strategy with the goal of keeping individual customers over time by offering them products that exactly meet their requirements
Factors that make the B2B Market Different
(1) customers in the B2B market are relatively few (2) Business customers are relatively large – big organizations account for most of the employment and production of various goods and services (3) B2B markets tend to be geographically concentrated (4) Business buyers are generally more rational and less emotional than ultimate consumers (5) B2B sales tend to be direct, but not always (6) B2B sales are based on personal selling whereas consumer promotions are based more on advertising
Tagged In :

Get help with your homework

Haven't found the Essay You Want? Get your custom essay sample For Only $13.90/page

Sarah from studyhippoHi there, would you like to get such a paper? How about receiving a customized one?

Check it out